Chapter 2 – Sectors of the Indian Economy
NCERT Solutions – Chapter-end Exercises
1. Fill in the blanks
(i) has not (ii) tertiary (iii) organised (iv) large (v) natural, manufactured (vi)
interdependent
2. Choose the most appropriate answer
(a) (iii) ownership of enterprises (b) (i) primary (c) (ii) all final goods and services (d)
(iii) 50 to 60
3. Match the following
Problems Measures
1 – Unirrigated land (d) Construction of canals by the government 2 – Low prices
for crops (c) Procurement of food grains by government 3 – Debt burden (e) Banks
to provide credit with low interest 4 – No job in the off season (a) Setting up agro-
based mills 5 – Compelled to sell grains soon after harvest (b) Cooperative
marketing societies
4. Find the odd one out
(i) Potter – makes goods, others provide services. (ii) Vegetable vendor – sells
goods, others provide services. (iii) Cobbler – self-employed small service, others
are in government service. (iv) Jet Airways – privately owned, others are public
sector.
5. Table completion
Nature of Employment % of Workers Organised/Unorganised
Offices/factories registered with govt. 15 Organised Own shops/offices/clinics with
formal license 15 Organised Street workers, construction workers, domestic
workers 20 Unorganised Small workshops not registered 50 Unorganised
% in unorganised sector = 20 + 50 = 70%.
6. Usefulness of classification
Yes, it helps to:
Understand contribution of each sector to GDP and employment.
Frame sector-specific policies.
Identify issues like underemployment in primary sector.
7. Focus on employment & GDP
Employment shows how many people depend on a sector.
GDP shows value of production.
Other issues: productivity, working conditions, environmental impact.
8. Long list & classification
Example:
Primary: farming, fishing, mining.
Secondary: textile manufacturing, bread making.
Tertiary: teaching, banking, transport. Choice based on nature of activity.
9. Tertiary sector differences
Produces services, not goods.
Supports primary & secondary sectors. Examples: transport, IT services,
healthcare.
[Link] unemployment
More workers than needed; productivity per worker low. Rural example: extra
family members on small farms. Urban example: many street vendors with low
sales.
[Link] vs. Disguised unemployment
Open: people willing to work but no jobs.
Disguised: more workers than required, hidden unemployment.
[Link] on tertiary sector
Disagree — it plays a major role:
Largest GDP share.
Supports other sectors.
Generates new services (IT, tourism).
[Link] types of service sector workers
Highly skilled: doctors, engineers, IT professionals.
Low-skilled: vendors, helpers, repair workers.
[Link] in unorganised sector
Yes:
Low, irregular wages.
No benefits or job security.
Unsafe working conditions.
[Link] by employment conditions
Organised: registered, follow rules, secure jobs.
Unorganised: small units, no security, low pay.
[Link] vs. Unorganised
Organised Unorganised
Registered, regulated Unregistered Job security, benefits No security Fixed hours
Long/irregular hours
[Link] of MGNREGA 2005
Guarantee 100 days of wage employment to rural households; provide “Right to
Work”.
[Link] vs. Public sector (local examples)
Public: government hospital – aims public welfare.
Private: coaching institute – aims profit.
[Link] vs. badly managed examples
Sector Well managed Badly managed
Public Efficient public transport Poor road maintenance Private Successful local
factory Failing private shop
[Link] sector examples
Railways, defence, public healthcare – large investment, public welfare, not profit-
driven.
[Link] sector & economic development
Creates infrastructure.
Generates jobs.
Provides essential goods/services.
[Link] in unorganised sector
Wages: set minimum wages.
Safety: provide safety gear.
Health: ensure medical facilities.
[Link] data table
Sector Workers Income (₹ million)
Organised 4,00,000 32,000 Unorganised 11,00,000 28,000 Total 15,00,000 60,000
Ways to create jobs: promote small industries, skill training, improve
infrastructure.
[Link] data
(i) Share in GDP
Year Primary Secondary Tertiary
2000 21.4% 19.9% 58.7% 2013 14.1% 18.9% 67%
(ii) Bar diagram – plot sectors vs. % share for both years.
(iii) Conclusion: Tertiary sector grew most; primary sector share fell; secondary
sector stable.